Housing association faces legal action from home owners over £2m charges

A group of home owners are taking legal action against the largest housing association in Europe over a £2m bill for repairs.

Residents of the Ranwell West Estate, in London, said Clarion Housing Group had presented them with bills of up to £32,000 each even though they already paid more than £3,000 a year in service and maintenance charges.

According to Hodge Jones & Allen (HJA), which is advising the claimants, several homeowners had had to sell their flats in order to pay the charges. Clarion had told homeowners they would take a percentage of their property if they fail to pay, the law firm added.

The residents argue that nothing was done to keep the property in Bow, east London, in good repair for several years.

Clarion demanded the work on the roof and pipes be paid for by issuing a section 20 notice on the residents in short succession.

Richard Manning, a health and safety officer who lives in one of the towers, said: “The building has been under maintained for years and it appears the bills we are faced with are to make good on things that should have been fixed years ago under general maintenance. People are being forced to hand over between six and ten per cent of their homes to the largest housing association in Europe to make up for failures in housing association management. This makes me incredibly angry.

“As a leaseholder you know that you will have a responsibility towards the upkeep of the building, which is fine. But we have been slapped with these bills, we don’t know if there are more coming and we cannot question them when they do come. Ultimately, all we leaseholders want is to pay a reasonable price for reasonable work.”

Stuart Miles, a specialist housing disputes solicitor from Hodge Jones & Allen, who is representing 18 tenants, said: “Tenants in leasehold properties expect to pay towards the maintenance of the property they live in, but these bills are extortionate. It is our case that Clarion allowed the properties to fall into disrepair before they started carrying out the works, which resulted in higher bills. This has left many of the residents struggling to pay, with some having to move out as a result. This is unacceptable and we urge Clarion to review these charges.”

A spokesperson for Clarion said: “We are unable to provide a detailed comment on this specific case as there is an ongoing legal claim. Our social housing residents are not required to pay towards communal works, but leaseholders are liable to pay a proportion of the cost of works. As a responsible landlord, we seek to invest in and maintain our existing housing stock to a good standard.”